Maintain BUY with a TP of Rs 300, based on 25x Sep-19 EPS. BLS International witnessed a mixed set of numbers in 2QFY18, with a miss on revenue, but beat on margins (+105bps QoQ to 23.2% vs our est. of 20%). Margin expansion was led by a greater contribution from the higher-margin Spanish Visa (~25%) and Punjab e-governance businesses (~30%). Revenue came in Rs 1.86bn, down 4.4% QoQ, led by 6.4% drop in the Visa business (~75% of rev). Visa revenue was soft, owing to seasonality. However, it is expected to revive in 2H, led by a rise in Visa applications in Spain, higher realisations led by VAS services, and contributions from new contracts.